India–US Trade Clash: Vikas Swarup Reveals Motives Behind Trump Tariff

Washington’s steep 50% tariff on Indian goods has sparked a diplomatic storm, with former Indian diplomat Vikas Swarup citing three key reasons behind President Donald Trump’s move. Speaking to ANI, Swarup called the tariffs part of a calculated strategy to exert pressure on New Delhi during ongoing trade negotiations.

Three Reasons Behind Trump’s Tariff

Swarup believes Trump’s decision stems from:

1. BRICS membership – Trump allegedly views BRICS as an anti-U.S. bloc seeking to create an alternative to the U.S. dollar.

2. Ceasefire snub – India dismissed Trump’s claim of brokering peace with Pakistan during a three-day clash, while Pakistan nominated him for the Nobel Peace Prize.

3. Trade leverage – The tariffs serve as a bargaining tool to push India toward U.S. demands on market access for dairy, agriculture, and genetically modified (GM) crops.

"This is part of his pressure tactics to get India to sign on the dotted line on maximalist demands," Swarup said, stressing that India’s strategic autonomy is non-negotiable.

Tariffs Amid Stalled Trade Talks

Trump’s tariff package—25% duty plus an additional 25% penalty over Russian oil purchases—came as India and the U.S. negotiated a bilateral trade deal. Washington sought wider market access for industrial goods, electric vehicles, wines, petrochemicals, and farm products. New Delhi, protective of its farmers and dairy sector, refused to yield.

India’s Response: ‘Will Not Compromise’

Prime Minister Narendra Modi condemned the tariffs as “unfair, unjustified and unreasonable.” He reaffirmed that India would protect its farmers, fishermen, and dairy producers—even at a cost.

"For us, the interest of our farmers is our top priority… India will never compromise," Modi declared.

The escalating trade dispute underscores broader geopolitical tensions between New Delhi and Washington, raising concerns about future economic cooperation.